Clearwire files for IPO

Wireless pioneer Craig McCaw is getting ready to take his latest company public.

Kirkland-based Clearwire — a wireless broadband provider with service in 27 U.S. markets — today filed to raise as much as $400 million through an initial public offering. It plans to trade on Nasdaq under the ticker symbol “CLWR.”

The SEC filing sheds the first light on Clearwire’s finances, with the heavily-funded company posting a net loss of $140 million last year. Revenue was $33 million.

Proceeds from the stock sale will be used for network expansion, spectrum acquisitions and working capital, with the money-losing wireless company saying that it will need to raise even more money in the future.

At the end of March, Clearwire listed about 88,000 subscribers in the U.S. and 11,500 in Belgium and Ireland. The company plans to ramp up subscriber numbers by targeting those who need mobile communications, including traveling professionals, contractors, real estate agents and law enforcement agencies.

Clearwire becomes the third company in the state to file for an IPO this year, following Northstar Neuroscience — which raised $112 million last week — and Light Sciences Oncology — which has yet to price its shares.

McCaw’s Eagle River Holdings is the largest shareholder in Clearwire, with a 47 percent stake. And the 56-year-old founder of McCaw Cellular is keeping tight control on the company, with McCaw and his affiliates owning 83 percent of the voting power of the stock. That control provides certain exemptions related to independent directors and compensation.

Even though Clearwire includes several heavy hitters, the investment is not without risks.

“As our company is at an early stage of development, we cannot anticipate with certainty what our earnings, if any, will be in any future period,” the company writes in the filing. “However, we expect to incur significant net losses as we develop our network, expand our markets and pursue our business strategy.”

Clearwire files for IPO

Wireless pioneer Craig McCaw is getting ready to take his latest company public.

Kirkland-based Clearwire — a wireless broadband provider with service in 27 U.S. markets — today filed to raise as much as $400 million through an initial public offering. It plans to trade on Nasdaq under the ticker symbol “CLWR.”

The SEC filing sheds the first light on Clearwire’s finances, with the heavily-funded company posting a net loss of $140 million last year. Revenue was $33 million.

Proceeds from the stock sale will be used for network expansion, spectrum acquisitions and working capital, with the money-losing wireless company saying that it will need to raise even more money in the future.

At the end of March, Clearwire listed about 88,000 subscribers in the U.S. and 11,500 in Belgium and Ireland. The company plans to ramp up subscriber numbers by targeting those who need mobile communications, including traveling professionals, contractors, real estate agents and law enforcement agencies.

Clearwire becomes the third company in the state to file for an IPO this year, following Northstar Neuroscience — which raised $112 million last week — and Light Sciences Oncology — which has yet to price its shares.

McCaw’s Eagle River Holdings is the largest shareholder in Clearwire, with a 47 percent stake. And the 56-year-old founder of McCaw Cellular is keeping tight control on the company, with McCaw and his affiliates owning 83 percent of the voting power of the stock. That control provides certain exemptions related to independent directors and compensation.

Even though Clearwire includes several heavy hitters, the investment is not without risks.

“As our company is at an early stage of development, we cannot anticipate with certainty what our earnings, if any, will be in any future period,” the company writes in the filing. “However, we expect to incur significant net losses as we develop our network, expand our markets and pursue our business strategy.”